Productive Growth...

Difficult to say... as more people join workforce and consumption and savings, both, increase with increasing investment and automation, we would use saved-skilled labour, too, labour supply would go up to lower wages, prices and interest rate which would increase investment and employment and demand and supply and growth expectations or potential growth rate... Capital and labor saving technical progress would reduce cost and prices and increase competitiveness and demand, only, if lower input costs are transmitted to lower consumer prices... Lower borrowing cost is equally important; more savings would help, due to higher real wages and incomes... Automation also demands skills which increase productivity and real wages and demand and growth and expectations, investment in skill development is crucial... Zero interest rate is acceptable but not subprime lending... If we calculate borrowing cost in the inflation index it is a major cost... Zero rates would maximize investment and employment... If supply and demand increases side by side, they might converge in the same direction and keep the objective of price stability and full employment... lower wages would help clear the labour market and lower interest rate would help clear the capital or money market... and that would happen when we would save capital and labour, without involuntary unemployment by increasing specialization in skills and technical progress or innovation through more investment at low borrowing cost and wage cost...

We want data on income share between capital and labour, on those who employ (rich, middle and lower) and who are employed (rich, middle and poor) (3*3)... ie the capital-labor share ratio or labour-capital share ratio to define its effect on inequality and demand and growth... Labour supply or (un/)employment and demand is likely to come from those with higher propensity to consume, middle and lower, and savings and investment and supply from all, but mainly the rich and the middle class... Nonetheless, unless poor people save, they've low capacity to invest in education and skills and get productive jobs, and other means to get a specialization... Unless productivity increases wages would stick at the minimum or subsistence or standard living... Higher population or labourforce and poor skills have depressed incomes and exaggerated the problem of unemployment... INDIA's youth population, its biggest asset, is a big liability too... As more people would join the workforce every year the problem of low investment and less jobs are going to be big problem... More people in the working age even skilled, but unemployed, would increase cost and voluntary unemployment... Return of the visa holders would aggravate the problem of cost and unemployment...

Notwithstanding, the distribution of national or output should be according to productivity or capital/output ratio or labour/income ratio, otherwise growth could not be justified on per capita income which is national output / workforce population, but it doesn't reflect equality because some earn more than others for even less time spent on the job, however, not everybody is paid hourly or daily, even when the business is dependent on some particular kind of job... like the food industry... not all the cooks earn most... similarly in a manufacturing job labors earn less than those who have invested the borrowed money on their savings... However, everybody is constrained by time...